(Correct in bullet and last paragraph to show bond yields
lower, not higher, across curve)

* Canadian dollar at C$1.0711, or 93.36 U.S. cents

* Trade deficit widens in November, October data revised
lower

* Bond yields slightly lower across curve

By Alastair Sharp

TORONTO, Jan 7 (Reuters) - The Canadian dollar hit
a one-week low against its U.S. counterpart on Tuesday after
Canada posted a much-larger- than-expected trade deficit,
knocking market hopes that the beleaguered export sector might
be starting to recover.

The November deficit and a sharp downward revision to
October's numbers knocked the wind from a nascent growth spurt
for the Canadian economy.

"There was some hope late last year that exports showed some
pick-up, especially in September, but with the revision to
October and again the weaker number in November, it showed that
it was probably just one-off strength in September," said
Charles St-Arnaud, Canadian economist and currency strategist at
Nomura Securities International in New York.